Restrukturyzacja zadłużenia jednostki gospodarczej wobec banku z powodu złej sytuacji finansowej
Restructuring of business entity’s debt in a bank because of poor financial position

Summary/Abstract: Resources for financing activities of an entity are collected from different sources, among which are credits and loans. Assessment of a financial situation of the entity is the basis for granting a credit or loan. It determines the ability of a bank to get involved in financing the entity’s activity. If a borrower is not able to pay off the debt, he has a possibility to ask for a debt restructuring. It is aimed to set the timing and conditions of the debt repayment depending on the need of the entity and abilities of the bank. Various instruments are used by banks in the restructuring of a debt. The most common are writing off a part or all of a debt, granting a new credit, converting a part or all the debt into debtor’s shares, selling off the receivables, rescheduling of the paying off the capital or interest, decreasing of the interest rate. That aside, bank evaluates the receivables and assets that have been taken over for debts at the time of their initial recognition and at the balance sheet date.

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